O2 enters the MiFi market with PAYG Pocket Hotspot

O2 has introduced a mobile Wi-Fi (MiFi) device that the operator says is small enough to fit into your pocket. The O2 Pay & Go Pocket Hotspot can provide a Wi-Fi connection anywhere you can get an O2 3G signal (cue jokes).

Up to five devices can be connected to the O2 Pocket Hotspot simultaneously, with two PAYG options available. First, there's a daily top-up of £2.04, though this will provide only up to 200MB of data a day.

Second, there is the 30-day option. This is available as 1GB of data for £10.21 or 2GB of data for £15.32. Both the daily and 30-day options still mean you’ll have to fork out £59.99 for the device itself.

O2 describes its Pocket Hotspot as providing some of the most competitive rates available for mobile internet access. Yet how competitive are they really?

Three was the first UK operator to offer a MiFi device. Three now offers a Huawei E5331 Value MiFi device for £49.99, which includes 1GB of preloaded data for a 30-day period. For 3GB of data, you’ll need to fork out £59.99 – the same price as the O2 Pocket Hotspot costs without any data whatsoever.

Vodafone offers a similar deal to O2 with its Mobile Wi-Fi R205 device available with a 2GB 30-day rolling plan. However, Vodafone’s offer costs only £20 for the data and £49 for the device itself, making it another cheaper alternative to O2’s.

Ultimately, choosing what MiFi device to purchase comes down to who you feel offers the broadest 3G signal, because without that there’s no mobile Wi-Fi in the first instance.

Oh, and if you were planning on bringing a mobile Wi-Fi device to the Olympics, we’re afraid the powers that be have added it to the list of forbidden products.

Do you use a MiFi device? Which one? Tell us why in the comments below...